I am very happy to greet you again with this issue of Newsletter. The contents
carry important activities of your Institute since the previous issue.
We had some excellent seminars and workshops as detailed in the Newsletter.
These activities and the Journal are our window to the outside world and carry
special importance towards recognition of the Institute by other professional
bodies and the public.
Similarly, our research output when it comes out, will boost our image as a
The much awaited Perspective Plan and short term plan defining the future
role of your Institute is now ready and after approval by Central Council will
be placed in the AGM.
The Institute now, if the Action Plan is implemented well; is poised to take off
as a professionally known entity and a think-tank in real terms. But for this,
help and co-operation from all our chapters is necessary. I congratulate those
chapters that have done excellent work during the past year and hope that
others will also be more active in future.
Wishing you all the best,
Activities of the CENTRAL OFFICE
1. Annual General Meeting
The 13th Annual General Meeting of IPAI Members was held on 24th
September 2010 at the Seminar Hall, Office of the CAG of India, Deen Dayal
Upadhyay Marg, New Delhi. The CAG of India and the Patron of IPAI, Sh.
Vinod Rai graced the occasion and addressed the inaugural session.
Before presenting the report of IPAI’s performance for the year 2009-10, the
President paid tributes to the late Shri C.G. Somiah, former C&AG of India
and founder patron of IPAI who passed away on 13th September 2010. The
President also mentioned the passing away of the following members of the
Institute during the year. Shri Vikram Chandra; Shri C.C. Bhansali; Shri
Krishna Gupta & Shri G.R. Srinivasan. The meeting observed one minute’s
silence as a mark of respect to the departed souls.
In presenting details of major activities of IPAI along with its Annual
Accounts for the year 2009-10, the President informed that 2009-10 was in
many ways a fruitful year for the Institute. The Institute’s Medium-term and
Long-term plans as well as a Vision Statement were under finalization and
should be ready for discussion and approval by the Central Council before the
close of the year.
While highlighting the major consultancy assignments undertaken. during the
year, the President stated that the Institute was able to break new grounds
successfully to carry out quality assignments like Preparation of Risk
Management Policy for India Tourism Development Corporation, Preparation
of Internal Audit Manual and suggesting a suitable organizational structure of
the Internal Audit wing for UTI-TSL Mumbai, Study on Migration to Accrual
system of Accounts, Financial Review of the Sarva Shiksha Abhiyan (SSA)
across the country and Procurement Audit of two projects under Ministry of
Health and Family Welfare assisted by World Bank. The Institute also
successfully completed a study (funded by the World Bank) to identify gaps
between the existing cash based accounting system and the accrual based
accounting system in the Forest and Health Departments of the Government
of Madhya Pradesh.
The Institute, at the instance of High Level Panel on Financial Position of
Distribution Utilities constituted by the Planning Commission under the
Chairmanship of Shri V.K. Shunglu, former Comptroller and Auditor General
of India, was engaged by Power Finance Corporation Ltd. as Consultant for
providing assistance in finalization of accounts of SEBs and State Distribution
Utilities in number of States and in carrying out a diagnostic study to ascertain
the reasons for delay in preparation of their accounts.
The President also mentioned about the seminars/ workshops held during the
year by IPAI and its regional Chapters. He appreciated the efforts of the
regional Chapters which were quite active and highlighted the important
assignments undertaken by Chapters.
Concluding, the President expressed his sincere thanks to the Patron, the CAG
of India and officers of the Indian Audit and Accounts Department for their
help, co-operation and guidance.
In his address the CAG of India expressed his happiness that the Institute was
consolidating its space and moving towards achieving the objectives laid out
for it. He mentioned that the Indian Audit & Accounts Department is
celebrating 150th year of its existence on 16th November 2010. He invited IPAI
to join and participate in the functions programmed to commemorate the
CAG was appreciative of our work in the field of consultancy and in particular
mentioned about its study on migration to accrual accounting system. He
informed about the progress made in this gigantic task and stated that as the
process got into motion, he would draw upon IPAI’s expertise and associate it
with the implementation aspects.
The CAG appreciated the formulation of a perspective plan for IPAI and
hoped that the Institute would fix for itself ambitious objectives and strive to
achieve them systematically because as he said “unless we dream, we cannot
have a plan which is ambitious enough”. Concluding, the CAG assured that
the Institute would have the full support of the Department in whatsoever
activity the Institute proposed to undertake and in pursuing the objectives the
IPAI set for itself.
Sh. T. Sethumadhavan, Vice-President IPAI expressed vote of thanks and
assured the Patron that IPAI would take his suggestions forward and keep
them in view in drawing the Perspective Plan. He also thanked the Chapter
Presidents for their co-operation in making the activities of IPAI successful.
2. Action Plan
A committee under the Chairmanship of Shri R. Parameswar, former DAI, has
devised a vision statement for IPAI alongwith short and perspective plans for
its future growth strategy. The Committee had consultations with the Patron of
the Institute in drafting the proposals entitled “IPAI – Way Forward” which
will be considered by the Central Council soon and thereafter placed before
the next AGM of the Institute to be held in 2011. The recommendations of the
AGM will be implemented in accordance with a detailed action plan.
3. Research Projects
The Technical Committee of IPAI has, among other things, the task of
identifying themes and subjects for technical papers which may be
commissioned by IPAI. In this context, the Committee approved the research
projects on “Towards Performance Oriented Administration - Some Recent
Initiatives” by Shri Dharam Vir, Former Dy. CAG and “Mechanism for
Implementing Budget Announcements” by Shri Dhirendra Swarup, Former
Chairman, Pension Fund Regulatory & Development Authority and Dr. S.C.
Pandey, Joint Secretary & Additional Financial Advisor, Ministry of Defence.
The research work on these papers have commenced and it is hoped that the
papers will be expedited over a time span of 10 months for being
commissioned soon for dissemination.
Besides, two more technical papers from our members are also under
consideration of the Committee.
4. Cash Award for the Best Paper on Public Finance
As a part of its professional development initiatives, the Institute had
instituted, in May 2009, an award scheme with a cash award of Rs.10,000/-
every year for the best paper on Public Finance written by in-service IA&AS
officers upto 10 years of service. During 2010-11, a paper on “Accrual
accounting – Mastering the Transformation” written by Ms. K. Mani, Director,
office of the Principal Director of Commercial Audit & Ex-officio Member,
Audit Board-II, Mumbai was selected for award. We congratulate Ms. Mani
on her achievement. The paper will appear in the next issue of the Indian
Journal of Public Audit & Accountability.
5. Seminar/ Workshop
The Central Office and the Regional Chapters organised the following
seminars/ workshop/ discussions which were well attended by members of our
Institute, the representatives of the Government of India, State Governments,
Public Sector Undertakings and NGO’s.
(i) Workshop on “Engineering, Procurement & 26th July 2010
Construction (EPC) contracts” at New Delhi.
(ii) Joint Seminar with Project Management 25 to 27th October 2010
Association (PMA) on “Project Management
and lessons learnt from audit” at New Delhi.
(iii) Discussions on “Ethics in Management” at 28th December 2010
(iv) Seminar on “Audit Reports – Visibility and 30th April 2011
Effectiveness” by Bangalore Chapter.
(v) Seminar on “Outcome Budget” by Bangalore 12th June 2011
The Institute organised a Workshop on 26 and 27th July 2011 on “Social Audit
– Road Map for Effective Public Accountability” at India International Centre,
New Delhi. Shri Vinod Rai, CAG of India was the Chief Guest and Dr. Mihir
Shah, Member Planning Commission, Government of India, the Guest of
Honour. The Workshop outcome and recommendations will be sent to all
Following the highly successful joint seminar in association with Project
Management Association (PMA), on “Project Management and Lessons from
Audit” in October 2010. IPAI is in discussion for holding similar seminar in
6. Consultancy and Studies
The consultancy assignments completed by IPAI Hdqrs since the issue of the
last Newsletter in July 2010 are (i) Preparation of Internal Audit Manual and
Setting up of Internal Audit Wing for the Unit Trust of India – TSL Mumbai,
(ii) Development of Accounting System for National Literacy Mission,
Ministry of Human Resource Development, (iii) Providing Technical Support
to the High Level Panel constituted by Power Finance Corporation for
completion of accounts of State Electricity Boards and DISCOMS, (iv)
Review and Revision of existing Rules & Bylaws and Recruitment Rules of
National Rural Road Development Agency, (v) Checking of Pay Fixation
cases of Education Department of the Government of Uttarakhand (vi) Internal
Audit of Six Departments of Uttarakhand Government, (vii) Performance and
Internal Audit of 21 Jan Shikshan Sansthans in Madhya Pradesh under the
Ministry of Human Resource Development and (viii) Financial Review &
Monitoring and Procurement Audit of SSA in 12 States/ UTs across the
Currently the Institute is carrying out the Financial Review, Monitoring and
Procurement Audit of SSA in 10 States/ UTs.
7. Diploma Programme on Budget, Finance and Accounts of Panchayati
In pursuance of an MoU signed with IGNOU in November 2007, the Institute
had developed a Diploma Programme on Budget, Finance and Accounts of
one year duration, to be completed in two semesters for the Panchayati Raj
functionaries to be sponsored by State Governments. Since however,
nominations were not forthcoming from the State Governments, the Central
Council reviewed the strategy for operationalising the programme and in
consultation with IGNOU, the MoU was amended to make it an ‘open
programme’. With this amendment, the Institute expects that the programme
would attract open market candidates besides State Government officials.
(i) Snehlata Narang Scholarship
Under the Snehlata Narang Scholarship, instituted in 1999 out of a generous
contribution of US$15000 (equivalent to about Rs. 6 lakh at that time) by Shri
Jagdish Narang, a former official of IA&AD, the IPAI awards scholarships to
the children of group ‘B’, ‘C’ and ‘D’ officials of IA&AD to pursue higher
education courses. Each scholarship carries an award of Rs. 18,000 per year.
For the year 2010-11, the following scholars were awarded the grants.
a. Master Pulak Barman, son of Shri Kanak C H Barman, Asstt.
Audit officer, office of the PDA (North East Frontier Railway),
Maligaon, Guwahati for pursuing M. Tech (I.T).
b. Ms. Ayswarya Lakshmi C K, daughter of Shrimati B. Kadambari
Devi, Senior Accountant, office of the A.G. (A&E), Kerala,
Thiruvanthapuram for pursuing P.G in Management (Marketing).
c. Master Naveen C, son of Shri K. Chakrapani, Senior Accountant,
office of the A.G. (A&E), Karnataka, Bangalore for pursuing
P.G. in Management.
Time schedule for submission of recommendations by the State Level
Screening Committee for the year 2011-12 has been notified by the Institute in
March 2011 and are as follows:
Activity Action by
Issue of a circular – inviting applications. 31st March 2011
Receipt of duly filled in applications in the prescribed 31st august 2011
Scrutiny of applications by the State Level Screening 30th September
Forwarding recommendations of the State Level Screening 31st October
Committee to IPAI 2011
(ii) Sanjeev Saluja Memorial Scholarship for Professional Development of
Smt. Neeru Saluja wife of the Late Shri Sanjeev Saluja, Former Additional
Deputy Comptroller & Auditor General of India graciously donated Rs 40,000
per annum for 4 scholarships of Rs 10,000/- each for professional
development of girls of Group “C” staff of IA&AD. The Scholarship is
available for studies in graduate courses in various disciplines.
Applications for the scholarship for the year 2011-12 have been invited from
all the field offices of the IA&AD in March 2011.
Two issues of Journals “Indian Journal of Public Audit & Accountability”
published since July 2010 were well received by our readers. Editorial
Committee invite articles for the Journal from members and others to keep it
10. Telephone Directory
We had, for the first time published, in May 2010 a telephone directory of
retired IA&AS officers on all India basis. Supplement to this directory
carrying corrigendum in names, addresses, telephone number, etc was issued
in January 2011. These details are also available on our website
Since the last News Letter (July 2010), 116 new members have become
members of the Institute. This brings the total membership of the Institute to
1494. The Institute welcome the new members and look forward to their
active participation in all activities.
We regret to report the unfortunate demise of Shri Vikram Chandra (M.S. 9)
and Shri Amal Kr. Pramanik (M.S. 1369) and pray for their souls. We will
surely miss them.
13. NEWS FROM REGIONS
Important activities reported by some of the chapters are as follows:
(i) Andhra Pradesh Chapter
The Chapter completed the following assignments during 2010-11.
Internal Audit of
(a) A. Madhava Reddy Andhra Pradesh Academy of Rural Development
(AMR-APARD) for the year 2008-09.
(b) Salarjung Museum for 2009-10.
(c) National Institute of Rural Development (NIRD) for the year 2009-10.
Internal Audit for 2010-11 is in progress.
(d) National Fisheries Development Board (NFDB) for the year 2010-11, a
unit under Central Government and completed three quarters of Audit.
Preparation of the Accounts Manual for AMR-APARD.
Verification of Expenditure and Compilation of Accounts in connection
with Resettlement and Rehabilitation (R&R) Works under Peddagadda
Reservoir Project and Thotapalli Barrage Project in Vizianagaram Dist.
Verification of Accounts and Financial Audit of Land Acquisition and
R&R works under KORGRP (Kandula Obul Reddy Gudlakamma
Reservoir Project) and PSVP (Poola Subbaiah Velagunda Project) projects
in Prakasam Dist.
(ii) Assam Chapter
The Assam Chapter has been functioning since January 2006. The present
membership stands at 38.
During the year, the Chapter carried out the internal audit of the Nagaland
University, Lumami for 2009-10.
Provided services of a consultant to Lakshmibai National Institute of
Physical Education, North East Regional Centre, Guwahati.
(iii) Bihar Chapter
The Chapter has been functioning since 2nd June 2009 with 61 members as on
31st March 2011. It has been providing consultancy service to the Examiner,
Local Accounts, Bihar since 20th September 2010 by outsourcing 30 members
& resource persons.
(iv) Gujarat Chapter
Membership of the Gujarat Chapter is 46.
The Chapter undertook the following assignments:
Internal audit of
(a) Gujarat Minerals Research and Development Society for the years
2007-08 to 2009-10.
(b) Offices under the control of Commissioner of Geology & Mining in
(c) 12 Public Works Divisions of Sardar Sarovar Narmada Nigam
Limited, Gujarat for 2010-11.
(d) Gujarat Electricity Regulatory Authority for 2010-11.
(v) Karnataka Chapter
The Chapter rendered the following consultancy services to the State
Government/ Undertakings during the year 2010-11.
Expenditure review and recommendations for effecting economy and
efficiency in the management of six State Government Departments
including Education and Social Welfare Departments.
Recasting the final accounts of Karnataka Medicinal Plants Authority
(KAMPA) for the year 2007-08 to 2009-10.
Providing services of an expert to conduct Internal Audit of Karnataka
Neeravari Nigam Ltd (KNNL) on continuing basis.
Held a widely appreciated Seminar on ‘Outcome Budget’ on 12th June
2010 which discussed the scope, structure, merits and lessons to be had
from the recent innovations introduced by the Government of India. The
Seminar was inaugurated by Shri B.K. Bhattacharya, former Chief
Secretary and Chairman, State Expenditure Reforms Commission. The
seminar was attended by representatives of the State Finance Department
and the Fiscal Policy Institute, Karnataka.
A workshop on “Audit Reports : Visibility and Effectiveness” in the
context of the media attention to CAG’s Reports on 2G spectrum was held
on 30th April 2011. The Workshop was addressed by Ms. Anantha
Lakshmi Ganapathy and Ms. Anusuya Basu, former DAIs, Mr. Naveen
Kumar, CMD, Karnataka Power Company, Mr. S. Prabhu, Pr. AG and Mr.
T. Sethumadhavan, Vice President, IPAI among others.
(vi) Kerala Chapter
The Chapter prepared seventeen manuals (containing the basic information
about the organisation) prescribed in the RTI Act, 2005 and Manual of
General Procedure, Manual of Office Administration and Compilation of
Delegation of Powers in respect of Coir Board, Kochi.
Proforma accounts of Text Book Branch of Education Department of
Government of Kerala relating to the years 2006-07 and 2007-08 were
Review of the major purchases made by the Rajiv Gandhi Centre for Bio-
Technology, Thiruvananthapuram for the period from 2007-08 to 2009-10
Published a Book “Ready Reckoner-Pay Revision 2009” in the wake of
recent Pay revision of State Government employees. The Book was widely
accepted by the State Government employees.
(vii) Madhya Pradesh Chapter
The Madhya Pradesh Chapter established in October 2001 has a membership
of over 134. Assignments completed successfully since the issue of last news
letter in July 2010 number twelve and include, amongst others followings:
Internal audit and Pre-audit for the financial year 2010-11 of Lakshmibai
National University of Physical Education, Gwalior, Preparation of Audit
Manual for Audit of Urban Local Bodies for Commissioner, Urban
Administration and Development, One week Accounts and Engineering
training to 300 Assistant Engineers and Sub-Engineers of M.P. Housing Board
in 10 batches from Jan 2011 to March 2011, Vetting of Replies of 73 Internal
Audit Reports of Janpad and Jila Panchayats assigned by Chief Executive
Officer M.G. National Rural Employment Guarantee Scheme, Preparation of
tender Documents for construction of Stop Dams under Bundelkhand package
assigned by Chief Engineer, Rural Engineering service M.P, Preparation of
tender Documents for Development of farmer’s facilitation centres under
Bundelkhand Package assigned by Chief Engineer M.P. State, Agriculture
Marketing Board, Provided advisory services to M.P. Road Development
Corporation for disposal of claim cases, Translation of Separate Audit Report
(SAR) for the financial year 2005-06 of M.P. Housing Board from English to
Hindi and Vetting of Tender Documents for Third Party Supervision and
Evaluation of civil works under Sarva Shiksha Abhiyan (SSA).
Provided services of consultants to:
Atal Bihari Bajpayee Institute of Information Technology and
Management Gwalior (2 Consultants)
Zila Garibi Unmulan Pariyojna DPIP Bhopal (3 Consultants)
M.P. Rural Road Development Authority (5 Consultants)
A.G. Audit Delhi for audit of civil works executed for Commonwealth
Games (2 Consultants)
(viii) Mumbai Chapter
Two members of the Chapter took up assignment in Internal Audit-Cum-
Concurrent Audit cell of the Directorate General of shipping, Mumbai from
15th July 2010 to 30th September 2010.
(ix) North West Chapter
The Chapter successfully completed the following assignments:
The Chapter has been providing consultancy services to the PGIMER
since February 2006 by outsourcing 12 members.
Since 2007-08, the Chapter has been assigned the Internal Audit and
Certification of Accounts of grant-in-aid received by the State Government
from the Government of India under ‘National Bamboo Schemes’.
Six consultants were engaged to scrutinize the returns of the assessees
filed under Punjab VAT Act, 2005 in Ludhiana and Jalandhar Districts. Of
the 308 cases examined, recovery of Rs. 582.06 lacs was effected in 22
cases. Amount of under assessment detected in 209 cases was Rs. 3022.49
lacs. Additional demand of Rs. 1327.14 lacs (120 cases) was also raised.
Provided services of consultants to:
(a) Punjab Health system Corporation - (17 consultants)
(b) Forest Department – (2 consultants)
(c) Indian Institute of Technology, Ropar – (One consultant)
(d) Municipal Corporation Chandigarh – (One consultant)
Besides, the members of Chapters were actively involved in delivering
lectures in the State institute of Public Administration, Punjab.
(x) Odisha Chapter
Shri Arun Kumar Singh, IA&AS Principal Accountant General (A&E) Odisha
took over the charge of the President of the Odisha Chapter on 21st June 2011.
During 2010-11, the Odisha Government assigned three projects to the
Internal Audit of electricity Duty for 2008-09 and 2009-10.
Audit of Gram Panchayats (2209 nos) for 2009-10.
Internal audit of subsidy payment towards Rs.2/- BPL Rice in the state.
The Chapters office is now functioning from CI/12, Old A.G. Colony, Unit –
(xi) Rajasthan Chapter
Following assignments were completed by the Chapter:
(a) Internal Audit of 20 units of World Bank aided Rajasthan Water
Sector Restructuring Project for the period 01st April 2010 to 30th
(b) 23 District Project Management Cells of Rajasthan Health System
Development Project for the period 01st April 2010 to 30th September
(c) Commercial Accounts of 2 Circles of Jaipur Vidyut Vitran Nigam, for
the period April 2010 to June 2010.
(d) Commercial Accounts of one Circle of Ajmer Vidyut Vitran Nigam for
the period April 2010 to June 2010.
(e) 13 Regional offices of Rajasthan Pollution Control Board and Head
office for the period 01st April 2010 to 30th September 2010.
Provided services of 6 Consultants to Entrepreneurship Managements
Institute (4), Adult Education Samiti (1) and RUIFDCO (1) on regular
Translation and vetting of O.A.D. Manual of Principal Accountant General
(Civil Audit), Rajasthan, Jaipur.
(xii) West Bengal Chapter
The membership of the Chapter comes to 77.
Completed Internal Audit of Pay fixation cases of about 40000 Employees
and Pensioners of west Bengal State Distribution Company Limited in
terms of ROPA – 2009.
Besides, services of some of the members have been placed at the disposal of
the Central and State Organisations.
SHRI VINOD RAI
Comptroller & Auditor General of India
Vijay Kumar Former Deputy Comptroller and Auditor General-
cum-Chairman, Audit Board
T. Sethumadhavan Former Budget Advisor, Govt. of Bahrain
P.K. Verma Accountant General (A&E), Tripura, Agratala
J.N. Gupta Additional Deputy Comptroller & Auditor General,
office of the CAG of India
Ms. Meenakshi Director General (DT), Office of the CAG of India.
V. Prakasa Rao Former Accountant General
James K. Joseph Former Accountant General
Shankar Narayan Director General (A&E), O/O C&AG of India.
Govind Pr. Director, International Centre for Information
Bhattacharjee Systems & Audit.
Ms. Mala Sinha Pr. Accountant General (Audit) – I Maharashtra
J. Wilson Pr. Accountant General (Audit), H.P., Shimla
Ventakesh Mohan Pr. Accountant General (Audit), Jammu & Kashmir
Madanjit Singh Sr. Audit Officer (Commercial) in the Office of the
Pr. Accountant General (Audit), Punjab,
INSTITUTE OF PUBLIC AUDITORS OF INDIA
Room No. 223, 2nd floor, ‘C’ Wing, AGCR Building, I.P. Estate, New Delhi - 110002
Ph. : 91-011-23702330, 23702290 & 23454326; Fax : 91-011-23702295
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